What does it mean when a lien is released?
To clear the lien, the vehicle owner must first pay off the money owed on the car. The lender will provide a document stating that the lien has been discharged.
What does it mean when someone has liens?
When someone has a lien, they hold a legal claim against a piece of property. Liens are important because they can prevent property owners from borrowing against or selling their property. In certain cases, lienholders can even file for foreclosure and sell the underlying property to recoup their money.
What is a lien theory?
What is lien theory? In lien theory states, the borrower holds the title to the property. Instead of a Deed of Trust, a Mortgage is recorded in the public record and acts as a lien against the property until the debt is paid off. With a mortgage, a homeowner has both legal and equitable title.
What is lien satisfaction mean?
A Lien Satisfaction is a legal document from DCU indicating that we no longer have (hold) an interest on the vehicle, thus allowing the state to release the lien listed on your vehicle.
When do you need to release a lien on a property?
If a lien has been placed on your property to secure payment under a construction contract, you will need to secure a lien release once payment has been made. Making sure a proper lien release is obtained requires an understanding of liens, waivers, and releases.
What does lien release mean on a car title?
Release of Lien. Even with proof that your lien is satisfied and loan is paid in full, the lien remains on your car’s title until you take certain steps to remove it. The exact procedure varies by state but generally includes providing the title and proof of satisfaction of the lien to the government office that handles vehicle registration.
What does it mean to sign a partial lien release?
A partial lien waiver means that you have received a partial payment, or are receiving a partial payment, and that you waive the right to file a mechanic’s lien for that particular portion the labor or materials that you provided. Determining whether the lien release you are signing is a final or partial lien waiver can sometimes be difficult.
What happens when you release a mechanics lien?
When releasing a mechanics lien, two things are implied: i) a mechanics lien has already been recorded against a property, and ii) all invoices that are subject to that mechanics lien have been subsequently paid off.
What does it mean when a lien release is filed?
A lien release is a document filed with the county recorder’s office that releases or cancels a filed mechanics lien. These are also known as “lien cancellations,” “satisfaction of lien claims,” “certificate of full payment of claim of liens,” and other names.
Can a surety be released from a lien?
General Principles: No lien release is binding unless the claimant signs and delivers a waiver and release. If signed by the claimant or his or her authorized agent, the signed form is effective to release the: Surety (in the case of a payment bond).
Do you need to sign a conditional lien release?
If you are not paid first, or simultaneously with the exchange of the waiver, you should try to sign a document known as a “conditional” lien waiver or a “conditional” lien release. The conditional lien waiver includes language that limits the effectiveness of the waiver to the extent of payment actually received.
When to sign a pre-lien release waiver?
That means that when you start the project nobody can require you to waive your right to file a mechanic’s lien before you actually provide the labor and materials. If they do, the waiver is void. That does not mean you should sign the pre-lien waiver anyway.